Still In Correction
The STI rose up strongly in these last two days, gapping up each time. So, is the correction over? Is it time to jump back into the market?
I have drawn into the chart the correction channel. You can see clearly that the STI is still within the channel. The confirming wave action is when the STI rises clearly and strongly above the top of the channel. The emphasis is on “clearly and strongly”. It could happen that the STI rises a bit above the channel and then drops back.
Each of us has his/her own risk appetite. In my case, I would wait for “clearly and strongly”.